US Regulators Close Two More Banks: First National Bank of Nevada and First Heritage Bank NA of California

by Florida's #1 Mortgage Planner on July 25, 2008

It was just two weeks ago (to the day) that the FDIC took over IndyMac Bancorp.  This evening, the Federal Reserve released that it ordered a cease and desist order against First National Bank Holding Company.

Adding to that release, the Office of the Comptroller of the Currency said it closed First National Bank of Nevada and First Heritage Bank NA of California and sold them to Mutual of Omaha Bank.  The two mark the sixth and seventh bank failures this year adding more pressure to the financial markets.

Washington Mutual was the latest to announce they are sufficiently capitalized, almost guaranteeing they will be insolvent shortly.  Why say that?  That is exactly what Bear Stearns, Freddie Mac and Fannie Mae claimed and we know where they are now.

You can bet more banks are going to fail in the coming months and the Fed will be useless to prevent that from happening, at best coming up with more ways to bail these failing companies at your expense.

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